Tor

Tor is an encrypted anonymising network that makes it harder to intercept internet communications, or see where communications are coming from or going to.

In order to use the WikiLeaks public submission system as detailed above you can download the Tor Browser Bundle, which is a Firefox-like browser available for Windows, Mac OS X and GNU/Linux and pre-configured to connect using the anonymising system Tor.

Tails

If you are at high risk and you have the capacity to do so, you can also access the submission system through a secure operating system called Tails. Tails is an operating system launched from a USB stick or a DVD that aim to leaves no traces when the computer is shut down after use and automatically routes your internet traffic through Tor. Tails will require you to have either a USB stick or a DVD at least 4GB big and a laptop or desktop computer.

Tips

Our submission system works hard to preserve your anonymity, but we recommend you also take some of your own precautions. Please review these basic guidelines.

1. Contact us if you have specific problems

If you have a very large submission, or a submission with a complex format, or are a high-risk source, please contact us. In our experience it is always possible to find a custom solution for even the most seemingly difficult situations.

2. What computer to use

If the computer you are uploading from could subsequently be audited in an investigation, consider using a computer that is not easily tied to you. Technical users can also use Tails to help ensure you do not leave any records of your submission on the computer.

3. Do not talk about your submission to others

If you have any issues talk to WikiLeaks. We are the global experts in source protection – it is a complex field. Even those who mean well often do not have the experience or expertise to advise properly. This includes other media organisations.

After

1. Do not talk about your submission to others

If you have any issues talk to WikiLeaks. We are the global experts in source protection – it is a complex field. Even those who mean well often do not have the experience or expertise to advise properly. This includes other media organisations.

2. Act normal

If you are a high-risk source, avoid saying anything or doing anything after submitting which might promote suspicion. In particular, you should try to stick to your normal routine and behaviour.

3. Remove traces of your submission

If you are a high-risk source and the computer you prepared your submission on, or uploaded it from, could subsequently be audited in an investigation, we recommend that you format and dispose of the computer hard drive and any other storage media you used.

In particular, hard drives retain data after formatting which may be visible to a digital forensics team and flash media (USB sticks, memory cards and SSD drives) retain data even after a secure erasure. If you used flash media to store sensitive data, it is important to destroy the media.

If you do this and are a high-risk source you should make sure there are no traces of the clean-up, since such traces themselves may draw suspicion.

4. If you face legal action

If a legal action is brought against you as a result of your submission, there are organisations that may help you. The Courage Foundation is an international organisation dedicated to the protection of journalistic sources. You can find more details at https://www.couragefound.org.

Submit documents to WikiLeaks

WikiLeaks publishes documents of political or historical importance that are censored or otherwise suppressed. We specialise in strategic global publishing and large archives.

The following is the address of our secure site where you can anonymously upload your documents to WikiLeaks editors. You can only access this submissions system through Tor. (See our Tor tab for more information.) We also advise you to read our tips for sources before submitting.

wlupld3ptjvsgwqw.onion

Copy this address into your Tor browser. Advanced users, if they wish, can also add a further layer of encryption to their submission using our public PGP key.

If you cannot use Tor, or your submission is very large, or you have specific requirements, WikiLeaks provides several alternative methods. Contact us to discuss how to proceed.

RANGOON 00000020 001.2 OF 002
Classified By: Economic Officer Samantha A. Carl-Yoder for Reasons 1.4
(b and d).
Summary
-------
1. (C) Canadian-owned Ivanhoe Copper Co. continues to
negotiate with state-owned Mining Enterprise-1 (ME-1) and a
consortium of three Chinese companies - WanBo Copper, Norinco
Copper, and Aluminum Corporation of China (Chalco) - for the
sale of its joint venture company, Myanmar Ivanhoe Copper
Co., Ltd. (MICCL). According MICCL Acting Director Glenn
Ford, Ivanhoe plans to sell its share of MICCL to ME-1 for
$100 million, who in turn will sell the entire company to the
consortium for $250 million. Ivanhoe initially expected the
sale to be complete by December 2008; however, ME-1 and the
Chinese consortium continue to hammer out details. Ford
predicts the sale will be final by April 2009. End Summary.
Buying and Selling MICCL
------------------------
2. (C) Myanmar Ivanhoe Copper Co., Ltd. (MICCL), a 50/50
joint venture between Canadian-owned Ivanhoe Mines Ltd. and
state-owned Mining Enterprise-1, began operations in Burma in
1994. For the past three years, Ivanhoe has been trying to
divest its shares in MICCL, due to the GOB's continued
interference in operations, refusal to pay Ivanhoe its share
of profits, and unreasonable demands for increased taxes
(Reftel). After several failed attempts to negotiate with
interested buyers, Ivanhoe in 2007 began discussions with a
consortium of three Chinese companies -- WanBo Copper,
Norinco Copper, and Aluminum Corporation of China (Chalco) --
on the sale of its shares. Glenn Ford, Acting Director of
MICCL, informed us that initial negotiations were positive;
however, once the consortium approached ME-1 about the sale,
the Ministry of Mines informed Ivanhoe it could only sell its
shares to ME-1. This arrangement forces Ivanhoe to pay to
the GOB both capital gains tax, set at 40 percent, and a
corporate tax of 10 percent.
3. (C) According to Andrew Mitchell, Ivanhoe Representative
in Burma, Ivanhoe agreed to sell its shares to ME-1 because
the company is desperate to divest. While it would be easier
and more profitable to negotiate directly with the Chinese,
Ivanhoe is afraid the GOB would block the sale. In early
2008, Ivanhoe and ME-1 agreed on a USD 100 million purchase
price. However, ME-1 lacked the money to pay Ivanhoe
directly -- it needed to sell MICCL first (technically
selling what it did not own). In September 2008, ME-1 began
negotiating with the Chinese consortium over the purchase of
MICCL, using regime crony Tay Za as a broker. Ford told us
the Chinese agreed to pay USD 250 million for the mine and
equipment, USD 50 million to Tay Za in consulting fees, and
an additional USD 100 million to upgrade the mine.
4. (C) The deal was initially slated to be finalized in
December 2008; the delay was due to continued negotiations
between the Chinese and ME-1. Ford informed us that the
Chinese continue to demand additional terms, such as a
moratorium on corporate income tax for ten years and a
guarantee that China could buy copper at less than USD
4,000/metric ton for a five-year period. During a recent
meeting with Mitchell and Ford, the Managing Director of ME-1
RANGOON 00000020 002.2 OF 002
lamented the GOB's decision to prohibit Ivanhoe from selling
directly to the Chinese.
5. (C) Both Ford and Mitchell surmise the sale of MICCL
will be complete by mid-2009, assuming ME-1 agrees to
consortium's terms. Per the joint venture agreement, ME-1
has the right to assume control over the mine should the mine
be out of operation for one year; MICCL shut down operations
last April but produced 20,000 tons of copper in September.
According to Ford, Ivanhoe Headquarters instructed him to
produce a small amount of copper every six months to prevent
the one-year timeframe from elapsing. Ford and Mitchell will
travel to Nay Pyi Taw the week of January 12 to meet with
ME-1 about the sale; in a December 31 phone call, the
Managing Director of ME-1 hinted Ivanhoe should start making
preparations to depart Burma.
Comment
-------
6. (C) That the GOB would prevent Ivanhoe from selling its
shares in MICCL directly to the Chinese reflects a desire to
profit as much as possible from the copper mine. Ivanhoe is
set to pay more than USD 20 million in tax on this sale
alone. While that is not ideal, Ivanhoe remains anxious to
divest. The Chinese continue to play hardball with the GOB
to ensure they get the best deal possible for MICCL. The
price of copper continues to fall daily; coupled with the
expense of making MICCL operational again, the Chinese need
to ensure profitability before signing a final agreement.
ME-1 officials recognize that the longer the MICCL copper
mine remains closed, the more difficult it will be to sell.
ME-1 lacks the ability to run the mine itself; the only way
it will be able to resume profit-making is by selling it to
the Chinese.
DINGER

Raw content

C O N F I D E N T I A L SECTION 01 OF 02 RANGOON 000020
SIPDIS
STATE FOR EAP/MLS; INR/EAP; OES; EAP FOR JYAMAMOTO; EEB FOR
TSAEGER
DEPT PLEASE PASS TO DEPARTMENT OF ENERGY
PACOM FOR FPA;
TREASURY FOR OASIA:SCHUN
TREASURY FOR OFAC
E.O. 12958: DECL: 01/09/2019
TAGS: ECON, EMIN, PGOV, PREL, PINR, BM
SUBJECT: BURMA: SALE OF IVANHOE MINE DELAYED
REF: 08 RANGOON 763
RANGOON 00000020 001.2 OF 002
Classified By: Economic Officer Samantha A. Carl-Yoder for Reasons 1.4
(b and d).
Summary
-------
1. (C) Canadian-owned Ivanhoe Copper Co. continues to
negotiate with state-owned Mining Enterprise-1 (ME-1) and a
consortium of three Chinese companies - WanBo Copper, Norinco
Copper, and Aluminum Corporation of China (Chalco) - for the
sale of its joint venture company, Myanmar Ivanhoe Copper
Co., Ltd. (MICCL). According MICCL Acting Director Glenn
Ford, Ivanhoe plans to sell its share of MICCL to ME-1 for
$100 million, who in turn will sell the entire company to the
consortium for $250 million. Ivanhoe initially expected the
sale to be complete by December 2008; however, ME-1 and the
Chinese consortium continue to hammer out details. Ford
predicts the sale will be final by April 2009. End Summary.
Buying and Selling MICCL
------------------------
2. (C) Myanmar Ivanhoe Copper Co., Ltd. (MICCL), a 50/50
joint venture between Canadian-owned Ivanhoe Mines Ltd. and
state-owned Mining Enterprise-1, began operations in Burma in
1994. For the past three years, Ivanhoe has been trying to
divest its shares in MICCL, due to the GOB's continued
interference in operations, refusal to pay Ivanhoe its share
of profits, and unreasonable demands for increased taxes
(Reftel). After several failed attempts to negotiate with
interested buyers, Ivanhoe in 2007 began discussions with a
consortium of three Chinese companies -- WanBo Copper,
Norinco Copper, and Aluminum Corporation of China (Chalco) --
on the sale of its shares. Glenn Ford, Acting Director of
MICCL, informed us that initial negotiations were positive;
however, once the consortium approached ME-1 about the sale,
the Ministry of Mines informed Ivanhoe it could only sell its
shares to ME-1. This arrangement forces Ivanhoe to pay to
the GOB both capital gains tax, set at 40 percent, and a
corporate tax of 10 percent.
3. (C) According to Andrew Mitchell, Ivanhoe Representative
in Burma, Ivanhoe agreed to sell its shares to ME-1 because
the company is desperate to divest. While it would be easier
and more profitable to negotiate directly with the Chinese,
Ivanhoe is afraid the GOB would block the sale. In early
2008, Ivanhoe and ME-1 agreed on a USD 100 million purchase
price. However, ME-1 lacked the money to pay Ivanhoe
directly -- it needed to sell MICCL first (technically
selling what it did not own). In September 2008, ME-1 began
negotiating with the Chinese consortium over the purchase of
MICCL, using regime crony Tay Za as a broker. Ford told us
the Chinese agreed to pay USD 250 million for the mine and
equipment, USD 50 million to Tay Za in consulting fees, and
an additional USD 100 million to upgrade the mine.
4. (C) The deal was initially slated to be finalized in
December 2008; the delay was due to continued negotiations
between the Chinese and ME-1. Ford informed us that the
Chinese continue to demand additional terms, such as a
moratorium on corporate income tax for ten years and a
guarantee that China could buy copper at less than USD
4,000/metric ton for a five-year period. During a recent
meeting with Mitchell and Ford, the Managing Director of ME-1
RANGOON 00000020 002.2 OF 002
lamented the GOB's decision to prohibit Ivanhoe from selling
directly to the Chinese.
5. (C) Both Ford and Mitchell surmise the sale of MICCL
will be complete by mid-2009, assuming ME-1 agrees to
consortium's terms. Per the joint venture agreement, ME-1
has the right to assume control over the mine should the mine
be out of operation for one year; MICCL shut down operations
last April but produced 20,000 tons of copper in September.
According to Ford, Ivanhoe Headquarters instructed him to
produce a small amount of copper every six months to prevent
the one-year timeframe from elapsing. Ford and Mitchell will
travel to Nay Pyi Taw the week of January 12 to meet with
ME-1 about the sale; in a December 31 phone call, the
Managing Director of ME-1 hinted Ivanhoe should start making
preparations to depart Burma.
Comment
-------
6. (C) That the GOB would prevent Ivanhoe from selling its
shares in MICCL directly to the Chinese reflects a desire to
profit as much as possible from the copper mine. Ivanhoe is
set to pay more than USD 20 million in tax on this sale
alone. While that is not ideal, Ivanhoe remains anxious to
divest. The Chinese continue to play hardball with the GOB
to ensure they get the best deal possible for MICCL. The
price of copper continues to fall daily; coupled with the
expense of making MICCL operational again, the Chinese need
to ensure profitability before signing a final agreement.
ME-1 officials recognize that the longer the MICCL copper
mine remains closed, the more difficult it will be to sell.
ME-1 lacks the ability to run the mine itself; the only way
it will be able to resume profit-making is by selling it to
the Chinese.
DINGER